Colours of LEDs

LEDs are available in red, orange, amber, yellow, green, blue and white. Blue and white LEDs are much more expensive than the other colours.
The colour of an LED is determined by the semiconductor material, not by the colouring of the 'package' (the plastic body). LEDs of all colours are available in uncoloured packages which may be diffused (milky) or clear (often described as 'water clear'). The coloured packages are also available as diffused (the standard type) or transparent.
Tri-colour LEDs

Tri-colour LED The most popular type of tri-colour LED has a red and a green LED combined in one package with three leads. They are called tri-colour because mixed red and green light appears to be yellow and this is produced when both the red and green LEDs are on.
The diagram shows the construction of a tri-colour LED. Note the different lengths of the three leads. The centre lead (k) is the common cathode for both LEDs, the outer leads (a1 and a2) are the anodes to the LEDs allowing each one to be lit separately, or both together to give the third colour.
Bi-colour LEDs

A bi-colour LED has two LEDs wired in 'inverse parallel' (one forwards, one backwards) combined in one package with two leads. Only one of the LEDs can be lit at one time and they are less useful than the tri-colour LEDs described above.